Chapter V COMPENSATION

In the exercise of the powers under the following provisions by the Highway Authority or any officer or servant appointed under section 6 or any other person authorised by or under this Act by the State Government, as little damage as can be, shall be done and compensation in the manner prescribed by or under this Act shall be paid to any person who sustains damage in consequence of the exercise of such powers, namely:— (a) the imposition of restriction under section 9; (b) the setting back of any building or part thereof under section 12; (c) the regulation or diversion of any right of access to a highway under section 13; (d) the entry, survey, measurement and doing of any of the acts on any land under section 14; (e) the acquisition of any land or extinguishment of any right or interest in the land under section 15; (f) the closure of any highway or part thereof under section 52.

The amount of compensation payable under section 26, the persons to whom it is to be paid and the apportionment of such amount among the persons interested therein, shall be

(1) In default of any agreement under section 27, the Highway Authority or the officer authorised by the State Government shall, subject to the provisions of this Act, after holding an enquiry, make an award determining,— (a) the true area of the land, if any, acquired; (b) the amount of compensation to be paid under section 26; (c) the apportionment, if any, of such compensation amount among all persons known or believed to be entitled thereto. (2) In determining the amount of compensation, the matter specified in sections 23 and 24 of the Land Acquisition Act, 1894, as amended by the Schedule to this Act, shall be taken into consideration.

No compensation shall be awarded,— (i) if and in so far as the land is subject to substantially similar restrictions in force under some other law which was in force on the date on which the restrictions were imposed by this Act; (ii) if compensation in respect of the same restrictions imposed under this Act or substantially similar restrictions in force under any other law has already been paid in respect of the land to the claimant or to any predecessor in interest of the claimant.

When permission to erect any building has been refused under section 9 or 10 the amount of compensation shall not exceed the difference between the value of the land as determined by section 23 or 24 of the Land Acquisition Act, 1894, as amended by the Schedule to this Act and the value which it would have had if the permission had been granted. In determining such value any restrictions to which the land is subject under any other law for the time being in force in regard to right of person claiming compensation to erect a building on the land or otherwise to use, hold or dispose of the same shall be taken into consideration.

Where the right of access to a highway has been destroyed as a result of the diversion or closure thereof and an alternative access has been given, the amount of compensation shall in no case exceed the cost of laying a new means of access from the property of the claimant to such alternative route.

(1) At the time of an entry, survey or measurement or doing any of the things under section 14, the officer making the entry, survey or measurement or doing any other thing, shall pay or tender to any person entitled compensation for all necessary damage done as a result of such entry, survey, measurement or execution of work including the cutting of standing crops, trees, or removal of temporary structures, if any, on the land. If the sufficiency of the amount so paid or tendered is disputed, the officer concerned shall at once refer the dispute to the Highway Authority and the said Authority shall, with the least practicable delay, decide the dispute and pay the person entitled the amount determined as compensation. The decision of the Highway Authority shall be final. (2) If at the time of taking possession of the land under section 19, there are any standing crops, trees or temporary structures on the land, the Highway Authority shall pay or tender to the person entitled the amount of compensation for such standing crops, trees or temporary structures. If the sufficiency of such amount is disputed the value of such crops, trees and temporary structures shall be taken into consideration in determining the amount of compensation for the land under section 28.

If any person has unauthorisedly erected, re-erected, added or altered a building on any land which is acquired for the purpose of a highway, then any increase in the value of the land for such erection, re-erection, addition or alteration shall not be taken into account in estimating the value of the land.

No compensation shall be payable for the removal of any encroachment.

(1) Any person aggrieved by the award of the Highway Authority or the officer authorised under section 28 may, by written application to the Highway Authority or such officer, require that the matter be referred to the Court of the Civil Judge within the limits of whose jurisdiction the land in relation to which the award is made is situate. (2) Any such application shall be made within six weeks from the date of the award, and shall be in such form as may be prescribed. (3) The provisions of sections 5, 12 and 14 of the Indian Limitation Act, 1963, shall apply to the computation of the time fixed for reference under sub-section (2). (4) The Highway Authority or the officer authorised shall make the reference in such manner as may be prescribed.

(1) References under sections 35 and 44 shall be deemed to be proceedings within the meaning of section 141 of the Code of Civil Procedure, 1908, and in the trial thereof, the authorities empowered to decide such references may exercise all the powers of a Civil Court under that Code. (2) The scope of the enquiry in a reference under sections 35 and 44 shall be restricted to a consideration of the matters referred to the authorities mentioned in sub-section (1) in accordance with the provisions of this Act.

If the Highway Authority or any officer or servant is opposed or impeded in taking possession of any land or in executing any work or in removing any encroachment under this Act, the Highway Authority or officer or servant concerned shall apply to the Commissioner of Police, the Superintendent of Police or such Police Officer as the State Government may empower in this behalf and the Commissioner of Police or the Superintendent of Police or the officer so empowered shall enforce the surrender, removal or execution, as the case may be.

The decisions of the authorities empowered to decide references under sections 35 and 44 shall be enforceable as a decree of a Civil Court.

(i) On the determination of the compensation by agreement under section 27, or (ii) on making of an award under section 28, or (iii) if a reference is made under section 35 against such an award, after the decision of the Authority under that section, the Highway Authority shall make the payment of compensation awarded to person entitled thereto in accordance with the agreement, its award or the decision of the Authority empowered to decide reference under section 35, as the case may be. The provisions of sections 31 to 34 (both inclusive) of the Land Acquisition Act, 1894, shall mutatis mutandis, apply to such payment.

All payments due to be made to any person by way of compensation by the Highway Authority under this Act shall, as far as possible, be made by adjustment in such person’s account regarding betterment charges, if any, due from such person under Chapter VI.